April 11, 2019

North America - Upcoming Cracker Projects and Capacity Outlook

Stratas Advisors

Between 2018 and 2025 North America is expected to add 14 MMTPA steam cracker capacity. The US will add 97% of the capacity, remaining will be in Canada. Approximately 80% of the upcoming capacity will be located in USGC. 

CRACKERINSIGHT3

Source: Stratas Advisors

The information in tables below includes the North America region’s major announced steam cracker projects.

Country

Location

Company

Capacity

Completion

United States

Lake Charles, LA

Indorama Ventures Olefins LLC

0.4

2019

United States

Lake Charles, La.

Sasol North America Inc.

1.5

2019

United States

Point Comfort

Formosa Plastics Corp. USA

1.3

2019

United States

St. Charles, LA

Westlake Petrochemicals Corp. (Axial/Lotte (LAAC LLC))

1.0

2019

United States

Plaquemine Parish, LA

Shintech Inc

0.5

2019

United States

Orange, TX

Dow Chemical Co.

0.1

2019

United States

Freeport (LHC 9),TX

Dow Chemical Co.

0.5

2020

United States

Port Arthur, TX

Total SA

1.0

2020

United States

Monaca, PA

Shell Chemicals Ltd.

1.5

2021

United States

St. James Parish, LA

Formosa Plastics Corp. USA

1.2

2022

United States

Belmont County, OH

PTT Global Chemical/Marubeni/Daelim chemical

1.0

2023

United States

San Patricio County, TX

SABIC, Exxonmobil Chemical Company

1.8

2023

United States

Orange, TX

Chevron Phillips Chemical Co. LP

1.5

2025

Canada

Corunna

Nova Chemicals Corp.

0.5

2021

Source: Stratas Advisors

North American supply is estimated to increase from 38 MMTPA in 2018 to 50 MMTPA by 2025.

Gas prices in the US are expected to remain below $30 USD/boe ($ 5/MMBTU) until 2025, keeping ethane projects profitable. The delta between Henry Hub natural gas prices and WTI is expected to widen from $44 USD/bbl in 2019 to $75 USD/bbl in 2030, making steam cracker projects more profitable than naphtha crackers. 

CMOD Chart 2

Source: Stratas Advisors

A detailed report with regional-level analysis is available to subscribers of our Global Petrochemicals service. Complete data for the analysis can be found on Stratas Advisors’ Data ToolNot a subscriber? Create an account
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